FAR Ltd (ASX:FAR) has reviewed the prospectivity of the A2 and A5 blocks offshore of the Gambia Project, following the Bambo drilling campaign in late 2021.
The drilling and logging data obtained on the main well, Bambo-1, and the side-track well, Bambo-ST1, confirmed both the presence of a prolific oil source in the area and that oil shows encountered while drilling were persistent over several hundred metres, confirming key reservoirs had access to this oil-generative kitchen.
Updip potential
The Soloo prospect S440 and S410 objectives in the Bambo drilling campaign were found to have indications of hydrocarbons, but no significant oil volumes were found in the southern extension of the Sangomar Field in the A2 Block.
That said, oil shows in the Bambo prospect S390 and S400 reservoirs, encountered in the Bambo-1 and Bambo-ST1 wells, have highlighted updip potential at both those levels in the A2 Block.
These prospective target intervals form the new Panthera prospect.
Three prospects for potential drilling
Further mapping of the potential oil-bearing reservoirs has opened additional, material exploration opportunities and FAR has prioritised three of the four mapped prospects for potential drilling: Panthera, Jatto and Malo.
These three high-grade prospects each house multiple potential oil-bearing reservoir targets.
Evaluation of samples taken from the drilling program remains under laboratory analysis and further work on mapping the deeper oil-bearing reservoirs continues.
FAR will now commence a farm-down of its interest in blocks A2 and A5, and in doing so, seek a carry on the cost of a well for drilling in late 2023 and a contribution to FAR’s past costs.
Budget reduction for the Gambia Project
Once drilling of the Bambo wells is finalised, FAR will revise the work plan for 2022 and accordingly, the budget for the works.
The current approved 2022 budget is US$9.56 million – 50% to the account of FAR and 50% to co-venturer, Petronas – and FAR expects to reduce this by around 40% to US$5.7 million for the 2022 year.
The joint venture will review and vote for the amended work program and budget in March. The company’s partner Petronas is supportive of reducing the 2022 budgeted expenditure.
FAR’s involvement
In 2017, FAR acquired a working interest and operatorship in two highly prospective offshore blocks, A2 and A5, located on trend with and adjacent to the giant Sangomar Oil Field offshore of Senegal.
Blocks A2 and A5 have been assessed to contain substantial prospective resources. FAR is the operator and holds a 50% paying and beneficial interest in blocks A2 and A5, with co-venturer, Petronas.
During the quarter ending 31 December 2021, FAR concluded the drilling and formation evaluation operations for the Bambo-1 well and Bambo-ST1 well in Block A2.